Which Superannuation to join for part time casual job in Perth

Cybella on 01/07/2019 - 12:06

Hi

I live in Perth and have just gotten a casual part time job working in events for just 3 hours a week.

I need to provide my employer with a super fund and have no idea which fund to choose as it's not a lot of money and I have no idea what fund to choose as currently it's my only source of income. Ideally I am looking for a fund which will be the best fit to maximise the earnings without large fees being incurred.

Can people recommend a good fund and what I need to do to join, costs, etc.

Thanks in advance.

Financial

Comments

  • Skramit on 01/07/2019 - 12:16
    +1

    If that's your only income, pick a fund with the lowest fees. Otherwise they will eat too hard into your balance. Don't worry about the returns on such a small amount for now, worry about that later when you have a full time job.

    Canstar has a good comparison tool for super fund fees and overall performance. https://www.canstar.com.au/compare/super-funds/?age=18+-+29&…

    When you sign up to a fund, make sure there's no insurance bundled with it otherwise that will eat your balance too. There's new laws around this (from July 1 I think).

    AustralianSuper is the Canstar top rated but their fees are slightly higher than some other funds e.g. ANZ Smart Choice Super.

    • Seraphin7 on 01/07/2019 - 13:04
      -1

      I was going to suggest ANZ Smart Choice for this purpose. The fees are about as low as you can get and for small balances (in particular) you get good bang for your buck.

  • toniyellow on 01/07/2019 - 13:09

    You don’t mention your wage. If you are on minimum wage only working 3 hours a week that would be only around $300 a year towards super.
    Super funds will often charge a flat fee of around $100 a year, a percentage fee, and insurance. All of that together and you may end up with almost nothing left.

    As mentioned above, you should think about if you need insurance or not, if you don'tt, cancel it.

    You could consider, Professional Super (also known as Student Super – they market under 2 names but are the same fund) they have no fees for balances under $1000, and a low fees on balances up to $5000. https://www.professionalsuper.com.au/low-fees/ Once you have a balance above $5000, there are other funds with a lower percentage fee so it would be worth remembering to consider switching at that point. If you think this is just very temporary and you will be working full-time soon, then perhaps start looking at other funds first.

    It is not hard to open an account with any super fund, and not hard to switch between super funds, just need to fill in some forms. A fund will be very keen to help you join as they get a new customer, and if you want to switch your new choice will be very keen for you to switch to them and help you organise that as well.

  • [Deactivated] on 01/07/2019 - 14:00

    If your not earning much then don't get income protection or life insurance as they will eat it all up.

  • QuickdraW on 01/07/2019 - 14:06

    Don't expect such a small amount to survive the fee's. Will likely go into a ceo lunch.

  • His_Holiness on 01/07/2019 - 19:22
    -2

    Don't be mislead by the above posters pushing ANZ. For a $50,000 super balance they charge $350 in fees. Low but definitely not the lowest.

    Hostplus Indexed Balance is the true low cost option. When you're working consistently and have a few thousand in super you can turn your mind to other investment options or a different super fund. Until then the lowest fee super available will protect what little super you have especially when at just working 3 hours a week will not net you any super to begin with.

    • Skramit on 03/07/2019 - 09:14
      -2

      Wrong.

      ANZ SMart choice charge %0.50 on your balance, plus admin fees of approx $72.

      For a $50,000 balance that's $250 plus admin fees and a bunch of other small fees gives you the $350 in your example as they have a balance of $50,000

      BUT OP will have a tiny balance attracting 0.50% which means sweet FA in fees. So it would be absolutely be more like ~$100 in fees for OP on a small balance.

  • Cybella on 02/07/2019 - 12:58

    Thanks to all you responded … much appreciated.

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